TOS.WA WACC - Weighted Average Cost of Capital

The WACC of Tamex Obiekty Sportowe SA (TOS.WA) is 9.1%.

The Cost of Equity of Tamex Obiekty Sportowe SA (TOS.WA) is 9.30%.

The Cost of Debt of Tamex Obiekty Sportowe SA (TOS.WA) is 8.90%.

	Range	Selected
Cost of equity	7.90% - 10.70%	9.30%
Tax rate	23.30% - 25.00%	24.15%
Cost of debt	6.70% - 11.10%	8.90%
WACC	7.7% - 10.6%	9.1%

WACC

TOS.WA WACC calculation

Category	Low	High

Long-term bond rate	5.5%	6.0%
Equity market risk premium	6.3%	7.3%
Adjusted beta	0.37	0.58

Additional risk adjustments	0.0%	0.5%
Cost of equity	7.90%	10.70%

Tax rate	23.30%	25.00%
Debt/Equity ratio	0.07	0.07
Cost of debt	6.70%	11.10%

After-tax WACC	7.7%	10.6%


Selected WACC	9.1%

TOS.WA's CAPM model and how its cost of Equity is calculated

The Cost of Equity reflects the return a company needs to deliver to shareholders to justify the risk of investing in its shares. It’s computed using the Capital Asset Pricing Model (CAPM), which blends the risk-free rate, the stock’s beta, and the market risk premium.

This method evaluates the stock’s risk compared to a safe investment and the market’s overall volatility.

Here’s how we figure out the cost of equity for TOS.WA:

cost_of_equity (9.30%) = risk_free_rate (5.75%) + equity_risk_premium (6.80%) * adjusted_beta (0.37) + risk_adjustments (0.25%)

We include the risk adjustments, which range from 0% to 1%, to keep our WACC conservatives, especially for companies traded in developing markets.